Point in the right direction Point in the right direction Garnet Point Vineyards Europe Ernest & Julio Gallo Winery Europe Wellington House 4-10 Cowley Road Uxbridge Middlesex UB8 2XW Tel: 01895 813444 Fax: 01895 818048 E-mail: ian.jones@ejgallo.com Web Site: www.gallo.com Key contacts Sales director UK & Eire David Bradley Operations director Charlie Frohock Marketing controller Ian Belcher Trade marketing controller Ian Jones Business unit managers Roger BoucherAndy Hicks Lloyd Stephens KEY BRANDS · Garnet Point Consistent growth over recent years has seen the UK table wine market rocket towards the 100 million case mark ­ and the rocket fuel has been New World wines. Nevertheless, per capita consumption in the UK is still less than one third of that in traditional wine producing countries, such as Italy and France, indicating a tremendous opportunity to add volume, with branded wines likely to take the lion's share. "The road to success for a wine brand begins with the correct balance of high product quality, value for money and investment in communicating the brand's credentials and values to the consumer," says Ian Jones, trade marketing controller for Garnet Point brand owner Gallo. "Garnet Point's ability to meet these needs with both its customers and consumers has seen it firmly entrenched among the leading 100 alcoholic drink brands in the UK within two years of launch. "Perhaps most importantly Garnet Point has already established a positive relationship and a set of values with wine consumers. Part of this success has been largely due to the brand's willingness to work closely with trading partners to ensure that the successful from the edge of the New World' positioning is communicated through not only above the line investment but also at point of purchase." New wines from the edge of new world The evident success of wine brands like Garnet Point accentuates the vitality of an already fast moving market ­ without strong brands the market would soon turn into a commodity based trade. Indeed, when new wine styles and techniques are developed consumers are more likely to trial them if they are produced and developed by brands that they trust, says Jones. "In the next few months Garnet Point will be launching new varietals to the trade, and without doubt, by building consumer expectation with package and advertising and meeting consumer expectation with a consistently high product delivery, a level of trust will be reached that ensures the new types will have the support of UK consumers even before they hit the retailer's shelves." Brand building Judged to be the fastest growing drinks brand in Checkout Magazine's recent Top 100 drinks survey, Garnet Point's success has been driven by its ability to complement and incorporate the strategy of retail partners in such a way that it is able to maximize the promotional message and build the equity and premium position of the brand, believes Jones. Heavy weight above the line campaigns, press, underground and outdoor advertising have been supported by a combination of instore price led and added value promotional activity. "Retailers understand that the inclusion of premium brands in their range is a mechanic by which they can communicate an enhanced quality message to their consumer and so enhance the value and perception of their own brand," says Jones. Looking for promotion The promotion of brands and generation of trial at full retail price will play an important role in increasing the retailers' average basket spend over the coming years, he says, and subsequently support category margins in a way that non-branded product cannot. The advent of internet trading, he suspects, will not undermine, but enhance brand presence. "We are proactively addressing the opportunities presented to brands through developments in e-commerce. "Currently, there is a clear opportunity for brands to both increase market share and enhance the brand message. We fully expect that this channel will continue to increase in importance for wineries and traditional licensed retailers." {{Z SUPPLEMENTS }}